The pharmaceutical field is undergoing more helpful hints an incredible deal of change. Companies including Pfizer and Lilly are going through considerable product or service patent expirations. Plus, organization pipelines are insufficient to switch the revenues dropped to patent expirations. Finally, EU-based and US-based firms and US are shifting their organizations in the direction of higher-growth markets in China, India, and other Emerging Markets, making inside organizational turmoil in their dwelling marketplaces.

As lots of firms understand, it is decreasingly feasible to simply “research” your way from these issues. Part of the solution to these difficulties is building and executing what we broadly confer with as a Company Improvement and Licensing method (BD&L). This strategy would include any and all options for seeking and financing external partnerships, licenses, mergers, and/or acquisitions.

Of course all multinational pharmaceutical and biotechnology firms have an BD&L group, usually led by a member with the senior administration team. Larger corporations will have a team of a dozen or more executives, directors, and managers responsible for sourcing, analyzing, and recommending business progress opportunities. Even smaller companies will have one or two individuals formally charged with the BD&L process.

So why should pharmaceutical providers, even large ones with large BD&L teams, use consulting companies to assist them? We believe there are a few explanations why this is the case:

Growth of an Overarching Framework - Lots of pharmaceutical and biotechnology businesses should be applauded for having a strategic and focused BD&L framework. Several corporations know exactly what they are looking for, i.e., asset type, stage of enhancement, geography, deal structure, and so forth. A framework, even a simple one, makes it easier for the search team to identify and quickly eliminate opportunities that do not fit. This then enables the team to focus more time on those opportunities which might be a good fit. This results in better due diligence and faster offer making.

Unfortunately, there are many corporations which do not take a framework-driven approach. Numerous searches are haphazard, where companies look for anything with a certain revenue potential, or anything that can be sold by their existing sales and marketing infrastructure. In our experience, any approach which aims to simply provide the sales organization with products to sell is unsustainable in the long run.

Savvy BD&L executives can leverage consultancies to help them develop this overarching framework, identifying the key variables which are important to the business, its administration, and its shareholders. Pharmaceutical management consultants can bring an objective perspective to an exercise which, if done properly, results in a roadmap that the BD&L team can then use to plan and execute a BD&L tactical plan.

Broaden Skill Set - We have noticed that many smaller BD&L teams have strengths and skills in some areas, but not others. For example, some organizations have BD&L teams led by scientists or clinicians or attorneys who lack the experience to quantitatively and financially assess opportunities. Using a consultancy can provide unbiased, rigorous quantitative analysis and financial modeling.

Extend Geographic Breadth and Depth - The traditional model for US and EU companies was to license drugs from Japanese providers, because many innovative Japanese companies lacked the global presence to develop and market their innovations outside their home country.